Canopy Growth Corporation (TSE:WEED) (NYSE:CGC) said Friday that it has inked a multi-year deal with convenience store operator Alimentation Couche-Tard Inc (TSE:ATD) for the retail sale of its Tweed line of cannabis products in a store solely dedicated to the brand.
Canopy said the new cannabis outlet located in London, Ontario, will open in April. Currently, the only place to buy legal recreational weed in Ontario is through a government-run online outlet, the Ontario Cannabis Store, but private brick-and-mortar shops are set to open April 1.
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The provincial agency responsible for regulating those stores, the Alcohol and Gaming Commission of Ontario, held a lottery last month to choose the entities that could apply for the initial 25 retail licenses.
Canopy and Couche-Tard say they have entered into a trademark licence agreement with one of the winners of that lottery to open a store under Canopy's Tweed brand.
The companies say the lottery winner will continue to have “full ownership and control over the London store.”
“We believe the Ontario Cannabis Store and private retailers will co-exist under a tightly regulated framework with common goals to protect public health and safety,” said Alimentation Couche-Tard CEO Brian Hannasch in a statement.
Canopy Growth CEO Mark Zekulin said Tweed was “synonymous with having informed staff who can help consumers find the right option for them,” whether they are new or experienced consumers.
Contact Uttara Choudhury at [email protected]